AGP Executive Report

Mining & Earnings: Nexa Resources reported Q2 2026 results with adjusted EBITDA up 78% to $286M, revenue up 28% to $908M, and net leverage falling to 1.4x—citing improving Peruvian operations and stronger Brazilian smelter performance. Agri Trade & Weather Risk: El Niño is expected to intensify during Peru’s peak blueberry harvest, raising the odds of yield disruptions and higher export costs for the world’s top fresh blueberry exporter. Energy Investment: Azerbaijan’s SOFAZ, alongside I Squared Capital and CPPIB, bought a major stake in Peru’s Inkia Energy, highlighting cross-border capital flows into Peru’s power generation and renewables pipeline. Property Rights in Court: Peru’s business community may be watching South Africa’s Expropriation Act challenge, where the Free Market Foundation argues against “nil compensation,” a reminder of how property rules can shape investment climates. Sports Business & Tourism: Peru confirms it will host the 2027 Pan American Games after an infrastructure review, while a separate report notes Machu Picchu tourism disruptions from a wildfire affecting primary forest.

Pan-American Games Logistics: Peru’s President Keiko Fujimori ratified the plan to host the Lima 2027 Pan American Games, pushing to accelerate infrastructure schedules after a review with Panam Sports to address venue delays and speed up administrative steps. Tourism Branding: Olympic gymnast Simone Biles met PromPeru officials to learn about the “Marca Perú” (Peru Brand) ahead of the Lima 2027 countdown, as Peru ramps up global promotion of culture and destinations. Sports Sponsorship Model: Lima club Deportivo Municipal unveiled a new kit financed by selling 1,000 mini advertising spots to fans and small businesses—an unusual grassroots approach that reportedly sold out quickly. Regional Security & Energy Signals: Colombia’s new right-wing president Abelardo de la Espriella was sworn in pledging a tougher stance on armed groups, state austerity, and a push to revive oil and gas—moves that could shape regional investment sentiment. Trade Disruption Watch: The US suspended operations in Mexico’s Michoacán avocado region over security threats, raising supply and price concerns for a key export corridor.

Peru Business & Economy: Peru’s business scene gets a feel-good boost as Deportivo Municipal launches a pixelated “1,000 sponsors” jersey, turning each $60 square into a spot for Lima micro-businesses and raising about S/254,000 so far. Regional Politics & Business Climate: Colombia’s new conservative president, Abelardo de la Espriella, is sworn in Friday amid tight security and a tougher stance on rebels and drug gangs—an environment that can quickly reshape investment risk and operating conditions across the region. Peru Policy & Finance: Peru’s economy headlines include a reported $150m settlement in a pollution case and new appointments tied to the economy ministry and BCR board, signaling ongoing state attention to governance and financial oversight. Energy Investment: Azerbaijan is reported to be acquiring a stake alongside I Squared Capital in Inkia Energy, Peru’s largest independent power producer—another reminder that power assets remain a magnet for foreign capital. Global Context for Peru: A report on Peru’s COVID death rate highlights how health shocks can hit hardest where systems are strained, a backdrop for Peru’s ongoing focus on resilience and public services.

Energy & Investment: Azerbaijan’s SOFAZ invested in Inkia Energy, Peru’s largest independent power producer, partnering with I Squared; Inkia runs a 2.6 GW mixed hydro/gas/solar/wind portfolio and has a 4+ GW renewables pipeline, holding a 22% share of Peru’s generation market. Climate & Labor Risk: The ILO warns the 2026–2027 El Niño could hit jobs, incomes, and working conditions across Latin America and the Caribbean, with informal, rural and outdoor workers most exposed. Business & Governance: Peru’s anti–foreign-funding NGO law is being challenged by investigative outlets; a Lima court already struck down two restrictive provisions, highlighting how donor-funded journalism can face administrative vetoes. Mining & Markets: Kazakhstan ranked among the world’s top copper producers in 2025, while Peru is cited among major producers—useful context for investors watching demand tied to power grids and clean energy. Energy Supply Chain: Rabobank flags volatility for aquaculture in late 2026 as El Niño, feed shortages, and constrained supply threaten fishmeal and fish oil availability, with Peru’s anchovy quota risk in focus.

Machu Picchu Fire Watch: Peru says a wildfire inside the Machu Picchu Historic Sanctuary has burned about 1.5 hectares so far, but officials warn the real risk is the fragile rail corridor and steep, combustible Andean slopes that can turn small blazes into major disruptions for tourism. Tourism Pressure Relief: With Machu Picchu drawing roughly 1.6 million visitors a year, travel coverage highlights the Inca Trail’s crowding and points hikers toward the less-permitted, often quieter Salkantay route as an alternative for visitors seeking fewer bottlenecks. Archaeology & Local Economy: Excavations at Cerro Mayal in northern Peru uncovered Moche ceramic workshops, including molds and production waste, strengthening the case for the site as a specialist pottery hub—useful for heritage-led tourism and research. Trade & Investment Signals: Peru-linked business news includes Coca-Cola’s planned USD 1 billion investment in Peru to expand operations and jobs, plus a report that Peru continues internal steps to optimize its free trade framework with China. Climate Risk for Food Security: UN reporting warns El Niño could drive severe hunger for tens of millions, with Peru and the wider region facing knock-on effects through disrupted harvests and higher food prices.

Peru Economy & Policy: Peru’s new president Keiko Fujimori laid out a governing agenda focused on El Niño response, security, social protection, infrastructure, administrative reform and digital government, promising direct oversight of implementation. Tourism & Risk: A wildfire in the Machu Picchu area has again affected primary forest and raised concerns for tourism’s key lifeline. Finance & Business: Coca-Cola and Arca Continental Lindley plan to allocate $865.6 million in Peru to expand operations, while Euronet and Unibanca are partnering to accelerate innovation across Peru’s financial sector. Trade & Infrastructure: Peru has completed internal steps to optimize its free trade agreement with China, and the country is also moving on El Niño prevention works like geogrids and dikes. Tech & Payments: Peru is highlighted as a digital-wallet market where wallets have outgrown banks, and AEON Pay’s rollout includes Peru’s Yape and PLIN QR rails for token settlement. Aviation Safety: Peru is probing a tourist plane crash near the Nazca Lines that killed 13, with aviation oversight under scrutiny.

Tourism Shock in Peru: A wildfire near the only rail corridor to Machu Picchu forced PeruRail to suspend service, canceling multiple departures and stranding hundreds—another reminder that the destination’s economy hinges on a narrow, climate-stressed route. Corporate Investment in Peru: Coca-Cola Peru and bottler Arca Continental Lindley plan to invest US$1 billion (865.6 million euros) over five years to expand and modernize production and distribution, including support for “Coastal El Niño” relief and water/sewage infrastructure in Pucusana. Finance & Growth Signals: Euronet and Unibanca are partnering to accelerate innovation across Peru’s financial sector, while Peru’s Sterilisation legacy returns to politics as Keiko Fujimori takes power. Security & Justice: Two men accused in the killing of an American Airlines flight attendant were arrested in Peru and linked to a gang allegedly targeting tourists, with extradition steps underway. Regional Business Context: The IDB and INTERPOL announced a Rapid Response Task Force to bolster security and justice cooperation across Latin America and the Caribbean.

Peru Politics & Governance: Keiko Fujimori’s administration is moving quickly on security and disaster readiness as she takes office, while Peru’s sterilisation legacy resurfaces in the spotlight with victims and advocates warning that accountability for the 1996-2000 program could stall. China-Peru Trade & Diplomacy: China’s envoy Yin Hejun attended Fujimori’s presidential handover ceremony in Lima, reiterating Beijing’s view of Peru as a top partner and pointing to the Chancay Port as a flagship Belt and Road project. Business & Finance: Euronet and Unibanca signed a multi-year SaaS deal to upgrade credit issuing in Peru, aiming to speed product launches and expand offerings for banks and fintechs. Corporate & Consumer Markets: Live Nation’s Ticketmaster launched in Uruguay and agreed to acquire RED UTS, extending its Latin America ticketing push that includes Peru-linked promoter activity. Health & Justice: A Peruvian cardinal called a $150m settlement for La Oroya lead poisoning victims a “historic milestone,” underscoring ongoing pressure for corporate accountability. Environment & Enforcement: Operation Green Shield 2026—run across five Amazon countries including Peru—netted 839 arrests and seized illegal timber, minerals, and wildlife trafficking goods. Safety & Tourism: A tourist plane crash near Peru’s Nazca Lines killed 13, with investigations and flight suspensions raising new questions about tourism safety.

Tourism Watch: Peru logged 1.628 million international visitors through June, down 0.7% year-on-year but up 74.8% versus pre-pandemic levels, with Jorge Chávez Airport handling 65.5% of entries and Machu Picchu remaining the top international draw. Migration & Security: Peru began issuing a biometric Carné de Extranjería linked in real time to police systems, starting with a pilot for foreign minors in Lima, aiming to curb forged documents and reduce irregular status. Climate & Risk Management: President Keiko Fujimori took office and declared a national emergency focused on organized crime and El Niño threats, including river dredging, flood defenses, watershed protection, and rapid logistics for food, water, and medicine. Environment Enforcement: Five Amazon countries, including Peru, carried out Operation Green Shield 2026, arresting hundreds and seizing illegal timber, minerals, and wildlife tied to trafficking and illegal mining. Business & Trade: Khipu Coffee released a 2025/26 Peruvian Coffee Harvest Guide to spotlight Peru’s specialty coffee sector and producers for global buyers. Regional Finance: Moody’s warned Latin America faces hurdles in the critical minerals boom due to regulatory, infrastructure, and financing bottlenecks.

Peru Aviation & Tourism Shock: Peru is investigating a tourist plane crash near the Nazca Lines that killed 13, with officials weighing possible mechanical failure and considering airport suspension measures as foreign consuls arrive at the scene. Political Transition in Peru: Former President Alejandro Toledo urged Keiko Fujimori to speed up his presidential pardon process, citing serious heart issues and cancer, while Peru’s new administration moves through technical and humanitarian review steps. Regional Business & Trade Context: A US tariff-rate quota on quartz surface imports and a broader US tariff fight are driving legal pressure in Washington, underscoring how trade policy can ripple into Peru’s export outlook. Cross-Border Community Support: A Las Vegas nonprofit, Ayni Peru of Nevada, is helping Peruvian immigrants connect with legal, medical, and education resources and coordinate with Peru’s consulate. Regional Security Cooperation: Panama’s Panamax 2026 military exercise includes Peru among participating countries, highlighting ongoing focus on protecting the canal and regional supply chains.

Aviation Safety & Tourism: Peru is investigating a mechanical-failure claim after a sightseeing plane crash near the Nazca Lines killed 13, including 11 tourists (7 Italians, 2 Spaniards, 2 Germans). Peru’s foreign trade and tourism minister said the Aerodiana Cessna 208B Grand Caravan operated normally for about 50 minutes before the pilot reported an in-flight mechanical emergency and lost radio contact; preliminary findings are expected in about a month, and flights were suspended as the probe continues. Politics & Justice: Former Peruvian president Alejandro Toledo, jailed in the Odebrecht-related case, urged President Keiko Fujimori to “accelerate” his presidential pardon process, citing serious heart problems, cancer, and bleeding, while the executive says the request will be reviewed on technical/medical and humanitarian grounds. Digital Economy & Mobility: Waze rolled out an AI-powered motorcycle mode in Peru (along with several other countries), aiming to route riders via safer, motorcycle-suitable streets and flag hazards like potholes or speed bumps. Energy & Infrastructure: Hitachi Energy named Andy Goggin as executive vice president and head of the Americas, signaling a push to reshape how the U.S. grid meets rising electricity demand, with Latin America—including Peru—under the same regional umbrella.

Aviation Safety: Peru temporarily suspended Aerodiana after a sightseeing crash near the Nazca Lines killed 13 people, including seven Italians, two Germans and two Spaniards; authorities say the pilot reported mechanical problems before contact was lost and that DNA tests will be used to identify victims. Government & Oversight: Peru’s Transportation Ministry and aviation accident investigators are reviewing permits and compliance, while President Keiko Fujimori said a temporary airport suspension is being considered pending investigation findings. Energy Innovation: Researchers at PUCP, with Peruvian firm Dinamo Tecnologías, are developing foldable solar panels using an origami-inspired design for naval and mining uses, aiming to make installation easier in tight or mobile settings. Security & Policy: After Keiko Fujimori took office, security forces killed “Comrade Richard,” a senior Shining Path figure in the VRAEM, as the new government moves toward emergency-led internal security and prison reforms. Business & Trade: Codrus Minerals signed to acquire copper, molybdenum and critical-mineral projects in Peru’s Apurímac region, adding new exploration targets alongside its Australian assets.

Aviation Safety Shock: Peru has temporarily suspended Aerodiana sightseeing flights after a Cessna Grand Caravan crash near the Nazca Lines killed 11 European tourists and two crew, with officials saying the pilots reported mechanical problems before radio contact was lost and investigators are now reviewing the emergency call, flight path, and wreckage. Tourism & Regulation: The tragedy has reignited scrutiny of how Peru oversees the heavily used Nazca tourist corridor, where flights are a key revenue stream and authorities are weighing immediate operational steps while DNA identification of victims proceeds. Amazon Governance: Peru’s SERFOR and the Air Force launched a coordinated “SERFOR 4.0” push using satellites, remote sensors, and AI early warnings plus SIVAN surveillance to curb deforestation, illegal logging, mining, and fires. Policy & Finance: Peru’s central bank reform is headed to Congress, raising questions about whether the “Peruvian model” will shape broader regional governance. Business Climate Watch: A global El Niño-linked outlook is flagged as a risk to commodity markets and inflation, with knock-on effects for Latin America’s supply chains.

Aviation & Tourism Crisis: A small sightseeing plane operated by Aerodiana crashed near Peru’s Nazca Lines, killing all 13 aboard (11 foreign tourists and two crew). Authorities say the Cessna Caravan C-208 departed from Pisco, reported an emergency around 1 p.m., then lost radio contact; the wreckage burned quickly, leaving no survivors. Victims included seven Italians, two Spaniards, and two Germans, with Peru’s transport and aviation investigators now probing the cause. Government Response: President Keiko Fujimori expressed condolences and said a temporary suspension of airport operations is being considered while ministries review reports. Business Angle: The crash is likely to hit a key revenue stream for Peru’s tourism sector, where Nazca flights are a major draw and operators may face scrutiny over safety and flight scheduling amid prior reports of wind-related disruptions.

Aviation & Tourism Shock: A small sightseeing plane crashed near Peru’s Nazca Lines on Saturday, killing 13 people (11 foreign tourists and two crew) after losing contact minutes after takeoff from Pisco; the aircraft, operated by Aerodiana, caught fire and authorities say the cause is under investigation. Consumer Prices Watch: Peru’s inflation in Lima rose 4.07% year-on-year, driven mainly by transport (+14.30%) and food/restaurant costs, according to INEI data—another reminder of cost pressures for households. Politics & Justice: Peru’s Constitutional Court overturned former President Ollanta Humala’s 15-year money-laundering conviction linked to Odebrecht, leading to his release, while legal fallout and procedural disputes continue around other high-profile cases. Governance & Anti-Corruption: Parliament’s ad hoc committee is set to decide how to proceed against former IDAC boss Andrea Johnson, with members signaling possible perjury charges after testimony raised inconsistencies. Business & Trade: A new tariff-rate quota on quartz surface imports and reports of a tariff hitting nearly half of Peru’s exports to the U.S. add to the week’s trade pressure signals.

Odebrecht Fallout in Peru: Peru’s Constitutional Court overturned former President Ollanta Humala’s 15-year money-laundering sentence, clearing the case tied to alleged illegal campaign funds from Odebrecht/Novonor and the Venezuelan government; Humala was released from Barbadillo prison and said he faced “political and judicial persecution,” while his wife Nadine Heredia remains in Brazil after asylum. New U.S.-Peru Cooperation Push: U.S. Secretary of State Marco Rubio called President Keiko Fujimori to congratulate her and reaffirm plans to deepen collaboration on security, transnational crime, trade and investment, and disaster preparedness. Security + Economic Agenda Under Fujimori: Fujimori’s inauguration emphasized restoring stability, tackling crime, and boosting growth, including an announced 15% minimum-wage increase. Regional Retail Expansion: Mallplaza signed a binding deal to buy eight Gran Plaza shopping centers in Colombia from Pactia, a move that expands its Andean footprint and highlights continued investor appetite for retail real estate in the region. El Niño and Food Supply Risks: Coverage linked El Niño-driven disruptions to broader fertilizer and food-price vulnerabilities, with Peru’s guano history used to illustrate how nutrient supply chains can reshape agriculture.